04.08.14
Becton Dickinson and Company’s (BD) first fiscal quarter experienced more highs than lows. Though net income fell 57 percent to $271 million, sales in the quarter rose 6 percent to $2 billion, meeting analyst estimates. The drop in net income was attributed to additional 2013 income from discontinued operations.
In the quarter ended Dec. 31, 2013, sales in the company’s medical segment rose 8.2 percent year-over-year to $1.1 billion, due partly to “strong” sales in the Medical Surgical Systems division, which benefited from the favorable timing of orders, and the Diabetes Care unit. Becton Dickinson noted that diagnostics revenues increased 3.1 percent to $672 million, reflecting international expansion in the Preanalytical Systems and Diagnostic Systems, as well as the timing of influenza orders. Meanwhile, the Biosciences segment grew 5.4 percent to $279 million.
On a geographical basis, U.S. sales rose 2.3 percent year-over-year to $849 million, while quarterly revenue grew 8.9 percent internationally to $1.2 billion. The Franklin Lakes, N.J.-based manufacturer noted that international sales benefited from strength in emerging markets and revenue from safety-engineered products, along with “solid growth” in Western Europe.
“Fiscal year 2014 is off to a strong start,” said Vincent A. Forlenza, chairman, CEO and president. “Our revenue and earnings growth exceeded our expectations and we have continuing confidence that we have built a solid foundation for future growth. Accordingly, we are raising the bottom end of our previous revenue and earnings ranges for our full fiscal year guidance.”
Becton Dickinson now expects sales to increase between 4.5 percent and 5 percent, with the bottom end of the guidance lifted from 4 percent. Meanwhile, the device maker predicts earnings per share of $6.19 to $6.22, representing growth of 6.5 percent to 7 percent, with the low end of the range increased from $6.16 per share. Wall Street analysts expect earnings of $6.23 per share.
In the quarter ended Dec. 31, 2013, sales in the company’s medical segment rose 8.2 percent year-over-year to $1.1 billion, due partly to “strong” sales in the Medical Surgical Systems division, which benefited from the favorable timing of orders, and the Diabetes Care unit. Becton Dickinson noted that diagnostics revenues increased 3.1 percent to $672 million, reflecting international expansion in the Preanalytical Systems and Diagnostic Systems, as well as the timing of influenza orders. Meanwhile, the Biosciences segment grew 5.4 percent to $279 million.
On a geographical basis, U.S. sales rose 2.3 percent year-over-year to $849 million, while quarterly revenue grew 8.9 percent internationally to $1.2 billion. The Franklin Lakes, N.J.-based manufacturer noted that international sales benefited from strength in emerging markets and revenue from safety-engineered products, along with “solid growth” in Western Europe.
“Fiscal year 2014 is off to a strong start,” said Vincent A. Forlenza, chairman, CEO and president. “Our revenue and earnings growth exceeded our expectations and we have continuing confidence that we have built a solid foundation for future growth. Accordingly, we are raising the bottom end of our previous revenue and earnings ranges for our full fiscal year guidance.”
Becton Dickinson now expects sales to increase between 4.5 percent and 5 percent, with the bottom end of the guidance lifted from 4 percent. Meanwhile, the device maker predicts earnings per share of $6.19 to $6.22, representing growth of 6.5 percent to 7 percent, with the low end of the range increased from $6.16 per share. Wall Street analysts expect earnings of $6.23 per share.